@Kim LivingstoneYour settlement statement and the property appraiser.

Forgiven debt is oftentimes a taxable event.

If someone is maxed out on their debt to income ratio and have little to put down then they are not ready to buy. 

I have the debt Id like to cover from the remodel, have a small down payment for the next property, as well as drop the PMI which I think is feasible but would my new loan truly stay the same and does it work that easily?

You will have a higher income and more equity, with less debt.   50-60 is ideal imo.   

Lending practices were drastically tightened after '08 which has subsequently lead to better underwriting and better debt securities.

Does it make sense to take on $800,000 in debt just to earn $4,000 a year? 

There early in there long term debt cycles and a young country.   

Once you have what hits your goals towards your vision you can work on a debt reduction plan.  

Self-directed IRA If you are self-employed with no full-time w-2 employees, you can set up a Solo 401k & rollover funds from a non-Roth IRA as a tax-free direct rollover and then invest in real estate.A Solo 401k has several advantages as compared to a Self-Directed IRA including the following which specifically apply to your situation: Unlike a Self-directed IRA, you can have the account for the Solo 401k at a bank or brokerage that does not charge maintenance fees and where you will have checkbook control.Unlike a Self-directed IRA, if you use leverage (which must be non-recourse financing in either case) to acquire real estate with your Solo 401k the income will not be subject to Unrelated Debt Finance Income taxGeneral Considerations Re Investing Retirement Funds in Real Estate:1.